Are Elite Mbas Still Worth It? Nikhil Kamath's '$90M Room' Remark Ignites Fresh Debate

Nikhil Kamath has sparked a fresh debate around the real value of an MBA, questioning whether the degree is more about access to elite networks than actual learning. His remarks-framed around the idea of a“$90 million room”-have struck a chord online, with many revisiting the true return on investment of expensive business school programmes. As conversations around skills, networking, and the future of education evolve, Kamath's take has once again put the spotlight on what an MBA really delivers in today's world.

A recent interaction with Zerodha co-founder Nikhil Kamath at Columbia Business School has fuelled the debate, implying that the true value of an MBA may no longer be in what you study, but in who you sit next to.

For decades, the MBA has been marketed as a simple equation: pay substantially in tuition, graduate with a renowned certification, and get access to a greater wage and a speedier path to leadership. However, as tuition increases and knowledge becomes more publicly available, that equation is being challenged.

What Did Nikhil Kamath Say?

During a candid conversation, Kamath, who has previously ridiculed MBA degrees, was asked why he attended a business school event if he didn't appreciate the degree. Kamath, using comedy and brutal realism, pointed out that with an MBA costing around $300,000, a room of around 500 students essentially reflects a collective investment of over $90 million.

He said that being in such a setting allows him to meet what he refers to as the "rich kids of India of tomorrow," implying that this access has future worth, which is precisely why he opted to go. That statement reframed the MBA not as a "return on investment," but as a "return on access."

For decades, MBA ROI has been quantified in terms of pay increases, promotions, and job changes. However, rising tuition expenses and the democratisation of information via the internet have undermined that equation. Kamath has previously stated that most of what is taught in MBA schools is available online, rendering traditional degrees less useful in a skills-based economy.

However, his Columbia statement emphasises a distinct type of value: proximity. Elite MBA cohorts frequently contain future entrepreneurs, investors, legislators, and family business heirs. The classroom becomes less about lectures and more about developing long-term relationships.

Kamath's allusion to a room collectively spending tens of millions emphasises a harsh reality: top MBA schools are effective screening mechanisms. High college costs, rigorous admissions, and worldwide mobility result in concentrated networks of influence.

What Do Experts Think?

According to India Today report, Dr. Umesh Kothari, Assistant Dean, GMBA/MGB and GCGM Dubai, Assistant Professor at SP Jain School of Global Management, observes,“the idea that an MBA is a'return on access' is not entirely new, but it is becoming more explicit.” He adds that this transition represents a new notion of value, with tailored peer settings becoming an integral element of the learning process.

Dr. Kothari observes that "the classroom today is one of the few structured environments where individuals are placed in proximity with a highly curated, ambitious, and diverse peer group," a proximity that frequently leads to collaboration, intellectual exchange, and, in some cases, capital and opportunity.

However, Dr. Kothari warns that "reducing an MBA purely to network value would be an oversimplification." He underlines that the true power resides in the interaction of organised learning and peer access.

Founders pursue MBAs to meet co-founders, investors recruit from alumni pools, consultancy and private equity companies view top MBAs as talent pipelines, and family business heirs form global alliances through these networks. The payoff becomes probabilistic; you have no idea which classmate will become the next unicorn entrepreneur.

With YouTube lectures, AI tools, and online courses that replicate classroom learning, MBAs' knowledge moat has gone. Trust-based relationships, elite signalling, social capital, and access to opportunity flow continue to be in short supply.

Kamath's observation encapsulates a larger change. The MBA is no longer simply a degree; it is a membership. The importance is in who sits next to you, not in what you're taught.

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